Sprint to buy affiliate Alamosa for $3.4 billion

Iria · Nov 23, 2005, 06:05 AM

Sprint Nextel said Monday it will buy Alamosa Holdings, its biggest Sprint-branded affiliate, for $3.4 billion in a deal that resolves one of the few remaining legal disputes that arose from the Sprint-Nextel merger.

The takeover, analysts say, also signals that Sprint will likely snap up its remaining six affiliates, heading off potential legal troubles and simplifying the company's new partnerships with the nation's big cable companies.

Alamosa shareholders will receive $18.75 a share, a 15% premium over the stock's close Friday at $16.26. Sprint Nextel also will assume Alamosa's $900 million in debt. The deal, which needs approval from Alamosa shareholders and regulators, is slated to close in the first quarter of 2006.
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Read More / Source: Yahoo! News

Nov 23, 2005, 06:05 AM	#1
Iria DriverHeaven Extreme Member Join Date: Apr 2004 Posts: 7,275 Rep Power: 89	Sprint to buy affiliate Alamosa for $3.4 billion Sprint Nextel said Monday it will buy Alamosa Holdings, its biggest Sprint-branded affiliate, for $3.4 billion in a deal that resolves one of the few remaining legal disputes that arose from the Sprint-Nextel merger. The takeover, analysts say, also signals that Sprint will likely snap up its remaining six affiliates, heading off potential legal troubles and simplifying the company's new partnerships with the nation's big cable companies. Alamosa shareholders will receive $18.75 a share, a 15% premium over the stock's close Friday at $16.26. Sprint Nextel also will assume Alamosa's $900 million in debt. The deal, which needs approval from Alamosa shareholders and regulators, is slated to close in the first quarter of 2006. ____________ Read More / Source: Yahoo! News